Crystal Displays Inc. recently began production of a new

product, flat panel displays, which required the investment of

$$1,500,000$ in assets. The costs of producing and selling $5,000$

units of flat panel displays are estimated as follows:$1$Variable costs per unit:$2$Direct materials$$120\mathrm{.}003$Direct labor$30\mathrm{.}004$Factory overhead$50\mathrm{.}005$Selling and administrative expenses$35\mathrm{.}006$Total variable cost per unit$$235\mathrm{.}007$Fixed costs:$8$Factory overhead$$250,000\mathrm{.}009$Selling and administrative expenses$150,000\mathrm{.}00$Crystal Displays Inc. is currently considering establishing a

selling price for flat panel displays. The president of Crystal

Displays has decided to use the cost$-$plus approach to product

pricing and has indicated that the displays must earn a $15\%$ return

on invested assets.